New Build Investor Guide – Tower Hamlets
Apr 2021
Buying a new build property off plan? Check out our Area Guide first
Are you considering purchasing a new build, off plan property in Tower Hamlets, London? Want to get the latest information on house prices, demographics, new build property in the area and other useful information before you commit to a deal?
Our Area Guides give you the latest relevant information from local governments, the Census and the Office of National Statistics (ONS) data. They’re designed for offshore, new build property investors looking to buy in London, to help you understand an area in detail so you can make informed investment decisions.
Read on to find out more about Tower Hamlets, London. If it’s information about the wider UK property market you need, you can download our latest report here. In our report we address two key questions:
1 Is investing in UK residential property still worth it?
2 If so, where are the best opportunities for property investors and why?
Tower Hamlets, London
The London Borough of Tower Hamlets is a London borough located in East London; it covers much of the traditional East End. The borough lies adjacent to the eastern side of the City of London and on the north bank of the River Thames. It includes much of the redeveloped Docklands, including West India Docks and Canary Wharf.
Tower Hamlets is a popular location for new build investors buying off plan and is home to schemes including London Dock, South Quay Plaza, The Silk District, Goodluck Hope and One Park Drive to name just a few. This report provides investors with detailed demographic data, economic and employment details and house price data for some of the most popular new build schemes in Tower Hamlets. We also provide the average rents being achieved in the borough, so that you can make informed investment decisions.
Demographics
The population of Tower Hamlets is forecast to grow by nearly 20% by 2030.
| Population | 317,203 |
| Forecast Population 2030 | 380,598 |
Source: data.london.gov.uk
Economically Active Population
| Age Range | Percentage of Population |
| 16-64 | 75% |
| Under 15 | 19% |
| Over 65 | 6% |
| Marital Status | |
| Single | 55% |
Source: nomisweb.co.uk
Average Life Expectancy
Average life expectancy for those born in Tower Hamlets between 2016 and 2018:
| Males | 79 years |
| Females | 83 years |
Source. ons.gov.uk
Population Density
Tower Hamlets is the most densely populated area in the UK, with an estimated 16,427 people per km2 in 2019.
Source: ons.gov.uk
International Migration
In 2018-2019 12,568 new residents from overseas moved to Tower Hamlets.
Source: ons.gov.uk
Country of Birth
| Location of Birth | Percentage of Population |
| UK & Ireland | 58% |
| EU | 9% |
| Other Countries | 33% |
Source: data.london.gov.uk
Crime and Safety
Just over 32,000 crimes were committed in Tower Hamlet’s in the year to September 2020 – the 6th highest of all London boroughs.
Source: ons.gov.uk
Education
Schools
| Primary Schools | 84 (23 of which have the highest Ofsted rating ‘Outstanding’) |
| Secondary Schools | 32 (10 of which have the highest Ofsted rating ‘Outstanding’) |
| Schools and Colleges (16-18 years) | 26 (11 of which have the highest Ofsted rating ‘Outstanding’) |
Source: compare-school-performance.service.gov.uk
Universities
Queen Mary University of London
London Metropolitan University
UCL School of Management
Health Facilities & Wellbeing
Hospitals
The Royal London Hospital
BMI The London Independent Hospital
Mile End Hospital
The Tower Hamlets Centre for Mental Health
General Wellbeing
| Population considering themselves in very good health | 50.6% |
| Population considering themselves in very bad health | 1.6% |
Employment & Economy
| Employed population aged 16-64 | 62% (compared to London 74% and England 75%) |
| Unemployed population aged 16-64 | 10% |
Source: data.london.gov.uk
Top 4 Sectors of Employment
| Finance, banking and insurance | 34% |
| Public administration, education and health | 19% |
| Distribution, hotels and restaurants | 18% |
| Transport and communication | 15% |
Source: data.london.gov.uk
Local Employers
There are numerous ‘global’ brands with offices in Tower Hamlets. To name just a few:
| Barclays | Citigroup | Clifford Chance | Credit Swiss |
| Infosys | Fitch Ratings | HSBC | J.P Morgan |
| KPMG | MetLife | Morgan Stanley | RBC |
| Skadden | State Street | Thomson Reuters |
Jobs & Job Density
| Median Gross annual Pay (full time employee jobs) (2017) | £37,603 |
| Number of jobs in Tower Hamlets | 342,000 |
| Jobs per resident | 1.43 |
Source. nomisweb.co.uk and data.london.gov.uk
Housing and Property
| Number of residential properties in Tower Hamlets | 125,360 |
| People per dwelling | 2.52 |
Source: data.london.gov.uk
Property Ownership (2018)
| Own property outright (no mortgage) | 19% |
| Own property with mortgage | 12% |
| Rent from a Housing Authority or the Local Authority | 31% |
| Rent from private landlord | 38% |
Source: data.london.gov.uk
Household Composition
| One Person households | 35% |
| One family households | 44% |
| Others (sharers etc) | 22% |
Source: nomisweb.gov.uk
House Prices
House prices in Tower Hamlets are the third cheapest of all Inner London boroughs (only Lewisham and Greenwich have cheaper average prices).
| Average achieved price January 2020 | £462,297 |
| Average achieved price January 2021 | £457,731 |
| Difference | -1% |
Source: london.gov.uk
How many sales?
During the COVID pandemic, the volume of house sales in the borough fell by nearly 34% (the third highest decline of all London local authorities behind the City of London and Newham).
| Number of residential sales to year ending September 2019 | 3,363 |
| Number of residential sales to year ending September 2020 | 2,221 |
Source. ons.gov.uk
Rent
Mean monthly average rents in Tower Hamlets (January to December 2020).
| Studio | £1,350 per calendar month |
| 1 bedrooms | £1,453 per calendar month |
| 2 bedrooms | £1,750 per calendar month |
| 3 bedrooms | £2,230 per calendar month |
Source: london.gov.uk
Major New Build Developments in Tower Hamlets
Tower Hamlets is a popular location for new build off plan, offshore investors. Canary Wharf is located within the borough, the City of London is on it’s doorstep and the new Crossrail station in Whitechapel have all been key drivers for this.
But buying new build off plan property can mean it’s more difficult to obtain data as to what’s really going on in the market. In this next section we’ve tried to capture information you will find useful, including average house prices and an indication of the sales taking place so that as an investor you can get a better understanding of the new build housing market in Tower Hamlets.
One Park Drive (Canary Wharf Group)
| Total Number of Apartments | 483 |
| First Launched | May 2017 |
Average Asking Prices – One Park Drive
| Minimum | Average | Maximum | |
| Price | £625,000 | £1,335,096 | £3,900,000 |
| Price per ft2 | £1,077 | £1,394 | £2,016 |
| Area (ft2) | 435 | 961 | 2,064 |
Source: Molior
| Minimum | Average | Maximum | |
| Studio | £692,000 | £678,571 | £715,000 |
| 1 bedroom | £990,000 | £882,895 | £997,500 |
| 2 bedroom | £2,020,000 | £1,422,105 | £2,750,000 |
| 3 bedroom | £3,900,000 | £2,152,321 | £4,320,000 |
Source: Molior
London Dock (St George)
| Total Number of Apartments | 1,800 (1,314 private apartments) |
| First Launched | September 2014 |
Average Asking Prices – London Dock
| Minimum | Average | Maximum | |
| Price | £825,000 | £1,738,810 | £5,499,500 |
| Price per ft2 | £1,128 | £1,545 | £1,900 |
| Area (ft2) | 550 | 1,184 | 2,894 |
Source: Molior
| Minimum | Average | Maximum | |
| 1 bedroom | £825,000 | £843,770 | £869,950 |
| 2 bedroom | £989,950 | £1,281,005 | £1,519,000 |
| 3 bedroom | £1,324,950 | £2,466,587 | £5,499,500 |
Source: Molior
The Silk District (Mount Anvil)
| Total Number of Apartments | 698 (515 private apartments) |
| First Launched | April 2018 |
| Minimum | Average | Maximum | |
| Price | £445,000 | £714,500 | £1,466,500 |
| Price per ft2 | £534 | £909 | £1,382 |
| Area (ft2) | 418 | 851 | 2,709 |
Source: Molior
| Minimum | Average | Maximum | |
| Studio | £455,000 | £497,800 | £577,500 |
| 1 bedroom | £503,500 | £561,859 | £613,500 |
| 2 bedroom | £680,000 | £746,017 | £944,500 |
| 3 bedroom | £825,000 | £1,021,063 | £1,466,500 |
Source: Molior
South Quay Plaza (Berkeley)
| Total Number of Apartments | 888 (700 private apartments) |
| First Launched | July 2015 |
| Minimum | Average | Maximum | |
| Price | £685,000 | £1,106,680 | £2,160,000 |
| Price per ft2 | £1,063 | £1,394 | £1,748 |
| Area (ft2) | 486 | 809 | 1,236 |
Source: Molior
| Minimum | Average | Maximum | |
| Studio | £685,000 | £761,357 | £820,000 |
| 1 bedroom | £695,000 | £925,513 | £1,075,000 |
| 2 bedroom | £965,000 | £1,223,280 | £1,555,000 |
| 3 bedroom | £1,297,500 | £1,693,300 | £2,160,000 |
Source: Molior
Goodluck Hope (Ballymore)
| Total Number of Apartments | 804 (651 private apartments) |
| First Launched | June 2017 |
| Minimum | Average | Maximum | |
| Price | £399,000 | £749,529 | £1,850,000 |
| Price per ft2 | £702 | £952 | £1,257 |
| Area (ft2) | 402 | 798 | 1,734 |
Source: Molior
| Minimum | Average | Maximum | |
| Studio | £399,000 | £455,000 | £474,000 |
| 1 bedroom | £493,000 | £546,147 | £653,500 |
| 2 bedroom | £544,000 | £799,676 | £1,105,000 |
| 3 bedroom | £1,050,000 | £1,332,042 | £1,850,000 |
Source: Molior
Environment & Leisure
Tower Hamlets is home to some of London’s most famous landmarks including:
Tower of London
Tower Bridge
Royal Mint
London’s East End
Transport
London’s travel network spans Zones 1 and 2.
Overground and Rail Stations
Bethnal Green
Cambridge Heath
Hackney Wick
Limehouse
Shadwell
Shoreditch High Street
Wapping
Whitechapel
Underground and DLR
| Bow Road | Bromley-by-Bow | Canary Wharf |
| Crossharbour | Devons Road | East India |
| Heron Quays | Island Gardens | Langdon Park |
| Limehouse | Mile End | Mudchute |
| Poplar | Shadwell | South Quay |
| Stepney Green | Tower Gateway | Tower Hill |
| West India Quay | Westferry | Whitechapel |
Governance
Labour Party
Subscribe to Updates
Get the latest news from
PropTech Pioneer
Property Investment Calculator
Categories
As a property investor, there are two measures you should consider...
Got a Question?
If you’ve a property investment
question you’d like us to
write about, let us know
